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Workers in the Israel-based offices of tech giants including Microsoft, Intel, Nvidia, Amazon Meta and Apple, among others are seeking to relocate abroad, a report has said. According to the Israel Advanced Technology Industries Association (IATI), 53% of multinational companies operating in the country have reported an increase in relocation requests from Israeli staff, specifically from senior executives and families as they are looking for roles in other global hubs.As per news agency Reuters, the report, released on Sunday (December 28), highlights a growing challenge for Israel’s high-tech landscape as this “trend may, over time, harm the local innovation engine and Israel’s technological leadership.”The report says that the high-tech sector is the backbone of the Israeli economy, and accounts for about 20% of Israel’s GDP, 15% of its jobs and more than half of its exports.The increasing number of relocation applications come as a reaction to Israel’s two-year war against Hamas. Hundreds of global giants, including Microsoft, Intel, Nvidia, Amazon, Meta, and Apple, maintain major R&D and operational centers in Israel. The IATI warned that if geopolitical and regulatory stability is not restored, the gradual erosion of this ecosystem could accelerate.Companies that faced disruptions during the fighting found efficient alternatives outside of Israel, the report said, adding that a risk that some activities transferred abroad during the war may not fully return.Despite the rise in relocation requests, the report also mentions that good side of business in Israel. While 22% of companies reported damage to business activity, a significant majority maintained or even grew their footprint – 57% of firms reported stable business activities throughout the two-year conflict and 21% of companies actually expanded their Israeli operations during the fighting.“The Israeli high-tech industry… once again proved its resilience and its ability to lead in innovation and creativity,” said Karin Mayer Rubinstein, IATI CEO and President.
